VeriSilicon Selects SRS WOW HD and SRS TruSurround HD for its ZSP (R) and VZ.Audio Platform

• SRS Labs signs new deal with VeriSilicon to license SRS WOW HD and SRS TruSurround HD for VeriSilicon's VZ.Audio and G1 ZSP family of DSP cores
• VeriSilicon delivers market-proven silicon and licensable SoC solutions that can deploy SRS technologies quickly and seamlessly to a wide variety of products
• The VZ.Audio Platform and SRS technologies provide a leading-class audio solution for a broad range of markets such as mobile, portable media and other home entertainment devices

SANTA ANA, Calif. -- July 17, 2007 -- SRS Labs, Inc., a leading provider of surround sound, audio and voice technologies, announced today that VeriSilicon Holdings Co., Ltd, a leading world class ASIC design foundry and silicon solutions provider, has chosen SRS Labs and their audio enhancement technologies to broaden its comprehensive software offerings for the VZ.Audio Platform. The licensing deal includes both SRS WOW HD(TM) audio and bass enhancement technology and SRS TruSurround HD(TM) virtual surround sound technology.

The VZ.Audio Platform is a complete end-to-end licensable audio SoC solution that includes a complete audio software suite, analog/digital system IP, and is based on the industry popular ZSP G1 family of DSP cores. The ZSP G1 cores vary in performance and silicon area while maintaining complete software binary compatibility. This enables developers to select the most cost effective ZSP solution for their current end-application with the option to use other ZSP cores in future projects with no software changes required. VeriSilicon selected SRS WOW HD and SRS TruSurround HD because of the unique and demonstrable features they provide. SRS WOW HD improves the audio performance of compressed audio, providing optimized bass response, high frequency definition and clarity, an expanded audio field and more natural sound that increase the listener's involvement in the multi-media experience. SRS TruSurround HD processes multichannel content to create a virtual surround sound experience so consumers feel as if "phantom" speakers appear to extend all around them, producing an amazing surround sound effect, without the clutter of extra wires or speakers placed around the room.

Both SRS WOW HD and SRS TruSurround HD have been ported to the ZSP400 but with ZSP G1 software compatibility. Both SRS technologies are also available on the ZSPneo, ZSP210, and ZSP410. The ZSP Architecture has been adopted by a large number of market leaders, such as Yamaha, Marvell, Broadcom and IBM, for its best-in-class MHz, power efficiency and solution scalability. The ZSP G1 cores have been designed into and is currently shipping across a wide range of devices including portable media players, cell phones, AV Receivers, HDTV's and set-top boxes.

"We are happy to add SRS technologies to the expanding and already comprehensive audio solutions we have available for our VZ.Audio Platform and ZSP family of cores. We expect the new offerings to address the increasing demands of our consumers for improved audio performance," said Federico Arcelli, Corporate VP of Worldwide Sales & Marketing. "Their technologies are not only widely recognized, but also deliver superior stereo imaging and bass performance for a better entertainment experience."

SRS technologies continue to be the first choice in audio enhancement for manufacturers due to their flexibility, ease of integration, better overall performance and cost savings. To date, more than 500 million hardware and software products featuring the SRS WOW family of audio technologies have been shipped or downloaded worldwide.

"VeriSilicon offers an exceptional DSP solution and we are very excited to partner with them in creating an attractive and seamless delivery system of our technologies for the ZSP platform," said Michael Franzi, Vice President, Sales-Licensing, SRS Labs. "With VeriSilicon we have expanded the number of solutions available for SRS licensees that can be deployed almost immediately.

Pricing and Availability

VeriSilicon's SRS WOW HD and SRS TruSurround HD implementations have been certified by SRS Labs and are now available to manufacturers.

About SRS Labs, Inc.

SRS Labs is a leader in audio signal processing for consumer electronics. Founded in 1993, SRS Labs holds 129 worldwide patents, with another 34 pending, for advanced audio, voice and surround sound technologies that optimize and improve the listening experience through techniques based on research into the human auditory system. Through partnerships with leading global manufacturers and semiconductor and software partners, over one billion products have shipped worldwide utilizing SRS audio technologies, primarily from one of three main technology families, SRS WOW®, SRS TruSurround® and SRS Circle Surround®. SRS Labs audio and voice processing provides the best possible sound from all content and in every environment including HDTVs, mobile phones, portable media devices, A/V components, PCs and automotive entertainment. And with 38 percent of the 58 million flat panel televisions shipped in 2006 featuring SRS audio processing, SRS Labs sets the standard for HDTV audio processing. Additionally, SRS Labs surround sound solutions provide the professional broadcast and recording industries with high-performance production, back-haul, storage, and transmission capability. SRS Labs supports manufacturers worldwide with offices in the US, China, Europe, Japan, Korea and Taiwan. For more information, visit http://www.srslabs.com

About VeriSilicon

VeriSilicon Holdings Co., Ltd ("VeriSilicon") is a fast growing silicon solutions company providing products and services that enable customers to meet their chip design objectives, accelerate development programs and deliver market proven silicon products -- on time and at lower cost. VeriSilicon specializes in providing expert design services, market leading ZSP® licensable cores and platforms, industry standard semiconductor IP and scalable ASIC turnkey services across a broad range of application markets, including multimedia, voice and wireless communications. VeriSilicon has design, operation and sales and support offices in Santa Clara, California, Dallas, Texas, Shanghai and Beijing, China, Taipei, Taiwan, Tokyo, Japan, Nice, France and Seoul, Korea.